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BaanERP Finance

Cash Management

Module Procedure UP038A US

Cash Management

Document�information

Document

Document code : UP038A USDocument group : User DocumentationDocument title : Cash ManagementEdition : ADate : May 1998

© Copyright 1998 Baan Development B.V. All rights reservedThe information in this document is subject to change without notice. No part of this documentmay be reproduced, stored or transmitted in any form or by any means, electronic or mechanical,for any purpose, without the express written permission of Baan Development B.V.Baan Development B.V. assumes no liability for any damages incurred, directly or indirectly, fromany errors, omissions or discrepancies between the software and the information contained in thisdocument.

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Table of contents

1. The Cash Management (CMG) module in BaanERP 1-11.1 The function of CMG in BaanERP 1-11.2 The modules related to CMG 1-31.3 CMG’s functionality 1-4

2. The payment procedure 2-12.1 The payment procedure 2-12.2 The statuses in the payment procedure 2-42.3 A variation in the standard payment procedure 2-52.4 Manual anticipated payments 2-62.5 Standing-order procedure 2-82.6 Payments without defined steps 2-9

3. The direct-debit procedure 3-13.1 The direct-debit procedure 3-13.2 The statuses in the direct-debit procedure 3-43.3 A variation in the standard direct-debit procedure 3-53.4 Manual anticipated receipts 3-6

4. The electronic bank statements procedure 4-14.1 The electronic bank statements procedure 4-1

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The Cash Management (CMG) module in BaanERP

Cash Management1

About this document

Read this document to get an overview of the Cash Management (CMG)module’s functionality and to learn more about the functional procedures thatare related to CMG.

You need no detailed knowledge of the BaanERP software to read thisdocument. However, you are more likely to understand the contents if you arefamiliar with:

n The overall structure of packages, modules, and sessions within theBaanERP software

n The general business procedures used in everyday business practicen The basic concepts of enterprise resource planning

For detailed descriptions of the module’s sessions, refer to BaanERP’scomprehensive online Help.

To use this document

Read Chapter 1, The Cash Management (CMG) module in BaanERP, if youwant to know more about:

n The module’s functionalityn The relationship of the module with other modulesn The functionality of the module’s business objects

Read Chapter 2, The payment procedure, if you want to know more about:

n The sessions in the proceduren The results of the proceduren The variation in the proceduren Anticipated paymentsn Standing orders

Read Chapter 3, The direct-debit procedure, if you want to know more about:

n The sessions in the proceduren The results of the proceduren The variation in the proceduren Anticipated receipts

Read Chapter 4, The electronic bank statements procedure, if you want to knowmore about:

n The sessions in the proceduren The results of the procedure


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Acronyms used in this document

ACP Accounts Payable

ACR Accounts Receivable

CMG Cash Management

COM Common Data

EBS Electronic Bank Statements

EMM Enterprise Modeling Management

GLD General Ledger

IBD Item Base Data

IRS Internal Revenue Service

MCS Tables

SLI Sales Invoicing

TD BaanERP Order Management

TI BaanERP Manufacturing

TP BaanERP Project

TS BaanERP Service

WH BaanERP Warehousing

Legend

Mandatorysession

Indicates a mandatory session

Optionalsession

Indicates an optional session

Mandatory subject

Indicates a mandatory subject

Optionalsubject

Indicates an optional subject

TFIndicates a package

ACPIndicates a module

CMGIndicates a module that is described in the module procedure

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This chapter provides information on:

n The CMG concept as applied in BaanERPn CMG’s functional proceduresn The modules related to CMGn The functionality of CMG’s business objects

1.1 The function of CMG in BaanERP

You can use CMG to process all cash transactions and bank transactions that arerelated to:

n Payments of purchase invoicesn Receipts of sales invoice amountsn Stand-alone paymentsn Unallocated payments and receipts

Information from cash transactions is used to gather statistical information,which you can use to analyze the payment behaviour of customers. You cangenerate cash-flow forecasts to analyze the liquidity position of theorganization. You can use these forecast analyses to determine if short-termcapital is required to run the business.

1. The Cash Management (CMG) module in BaanERP


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Figure 1 shows how the CMG module is positioned in BaanERP.

Logistics

EMM

Finance

ACP

ACR

CMG

GLD

SLI

Central Invoicing

MCS

IBD

GLD

Basic data

COM

TI

TDWH

Service

Project

TP

TS

Figure 1, The CMG module in BaanERP


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1.2 The modules related to CMG

Figure 2 shows the modules that are related to CMG.

GLD

ACRACP

CMG

Figure 2, The modules related to CMG

As you can see in Figure 2, CMG is directly related to other Finance modules.

In the Accounts Payable (ACP) module, the history and the maintenance ofpurchase invoices is handled. You can process the automatic payment and themanual payment of these purchase invoices in CMG.

In the Accounts Receivable (ACR) module, you can maintain sales invoicesfrom payments thatare received in CMG.

You can post the financial transactions, which are processed in CMG, to theGeneral Ledger (GLD) module.

Before you can start working with CMG, you must select the Finance check boxin the Companies (tccom0100s000) session. In addition, you must define themaster data and the parameters for group company, company, and so on, in theGeneral Ledger (GLD) module.

You must then set the parameters in the CMG Parameters (tfcmg0100s000)session.

Master data andprerequisites


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1.3 CMG’s functionality

This section first describes the main subjects of CMG and the way you can usethese subjects, and then explains in detail the functional procedures of CMG.

The main subjects of CMG

CMG contains the following subjects:

n Master Datan Transaction Processingn Supplier Paymentsn Customer Receiptsn Statisticsn Cash Forecastn Electronic Bank Statementsn IRS 1099 Report

Figure 3 shows the main flow between the subjects.

Master Data

Supplier Payments Customer Receipts

Cash Forecast

Transaction Processing

Statistics

IRS 1099 Report

Electronic BankStatements

Figure 3, The main flow between the subjects in the CMG module


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Master Data

You must define the Master Data before you can use Supplier Payments,Customer Receipts, and Transaction Processing. You need the information inthe Master Data for:

n The automatic-payment proceduren The direct-debit proceduren The definition of forecast periods

The most important Master Data includes:

n The payment methodsn The bank relationsn The posting steps that are defined in the cash procedures

Transaction Processing

The financial transactions that are created in CMG go through TransactionProcessing to the General Ledger (GLD) module. The postings are processed bymeans of transaction types. The postings that are generated in SupplierPayments and in Customer Receipts are processed through TransactionProcessing to the General Ledger (GLD) module. These postings consist offinancial transactions for:

n Anticipated paymentsn Anticipated receipts

In the General Ledger (GLD) module you can finalize and store the financialtransactions.

Supplier Payments

The Supplier Payments supports the payment process when:

n Purchase invoices are due for paymentn Partial payments must be made

You can carry out the following steps:

1 Select the payments that you want to process by supplier2 Assign banks3 Print or store, bank orders or checks in an electronic file4 Post the related cash transactions to the General Ledger (GLD) module


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Customer Receipts

You can use Customer Receipts if sales invoice receipts are processed by theorganization. Before you can use this, the customers must have authorized theorganization to automatically debit their bank accounts.

You can carry out the following steps:

1 Select the due sales invoices for customers who allow direct debiting2 Assign banks3 Print bank orders or store bank orders in an electronic bank file4 Post the related cash transactions to the General Ledger (GLD) module

Statistics

You can use Statistics to:

n Analyze the payment behavior of customersn Analyze the terms of payment of customers

The receipt information is obtained from the automatic debits in the CustomerReceipts. If these receipts are processed manually, the information is providedby Transaction Processing.

Cash Forecast

With Cash Forecast you can forecast cash flows, which provides you with aninsight into the liquidity position of your company at a certain point in thefuture.

A cash-flow forecast represents the incoming and outgoing cash flows thatresult from:

n Purchase invoices and sales invoicesn Purchase orders and sales ordersn Project ordersn Sales quotationsn Financial budgetsn Standing orders

Electronic Bank Statements

Electronic Bank Statements support the electronic sending of bank statementsby banks. The bank statements can be sent:

n By modemn On diskette

The electronic bank statements are matched against the purchase invoices andagainst the sales invoices. This information is processed in the financialaccounts. If possible, most of the transactions are done automatically.


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IRS 1099 Report

You can use the IRS 1099 Report to report your 1099-MISC income paymentinformation to the Internal Revenue Service (IRS). The output of the 1099-MISC Income payment information (used for filing purposes) is available in:

n Electronic documentn Hard copy

CMG’s functional procedures

CMG contains 3 functional procedures:

1 The payment procedure (see section 2.1)The payment run covers the entire payment procedure from the timepurchase orders are due until the time the invoices are cleared.

The payment procedure consists of a standard payment procedure with anadditional procedure to handle a variation in the standard procedure. Youcan use the variation in the standard procedure to change the paymentstatus.

2 The direct-debit procedure (see section 3.1)The direct-debit run covers the entire direct-debit procedure from the timesales invoices are due for payment until the time the invoices are cleared.

The direct-debit procedure consists of a standard direct-debit procedurewith an additional procedure to handle a variation in the standard procedure.You can use the variation in the standard procedure to change the receiptstatus.

3 The electronic bank statements procedure (see section 4.1)With the electronic bank statements procedure, you can process thestatements that the bank has sent to you in electronic form.


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Cash Management2-1

This chapter describes:

n The standard-payment proceduren The statuses in the payment proceduren A variation in the standard-payment proceduren Manual anticipated paymentsn Standing-order proceduren Payments without defined steps

2.1 The payment procedure

The payment run covers the entire payment procedure. This is from the timepurchase orders are due as open entries in the Accounts Payable (ACP) module,until the time the invoices are cleared when the bank statement is received andthe payments are reconciled. The standard-payment procedure contains thefollowing steps:

1 Setting up the payment method and the bank relation

2 Specifying the ledger accounts to which anticipated payments must beposted for each payment method and bank relation

3 Linking a payment method to each purchase invoice

4 Selecting the purchase invoices that are due

5 Auditing and processing the payments

6 Sending an electronic file or the printed bank-orders to the bank fornotification purposes

The results of the payment procedure are:

n The open entries file in the Accounts Payable (ACP) module is clearedn All open amounts of purchase invoices are set to zeron The payment document is linked to the purchase invoice

2. The payment procedure

The procedure’s result s

The payment procedure

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Figure 4 shows the steps in the standard payment procedure.

Payment Methods(tfcmg0540m000)

Data by Bank/Payment Method

(tfcmg0545m000)

Select Invoices for Payment

(tfcmg1220m000)

Payment Advice(tfcmg1501m000)

Compose Payments (tfcmg1240m000)

Transactions(tfgld1101m000)

Bank Transactions(tfcmg2100s000)

Reconciliation ofAnticipated Payments/

Receipts (tfcmg2102s000)

Finalization Run Numbers(tfgld1519m000)

1

5

6

7

8

9

10

Bank Relations(tfcmg0510m000)2

3

4

ACP

ACP

Bank

BankSend Payment Orders

Receive Bank Statement

Figure 4, The standard payment procedure

The standard payment procedure consists of the following steps.

Step 1 Payment Methods (tfcmg0540m000)

You must set up payment methods. You can link a payment method to aninvoice to determine how the invoice is paid.

Step 2 Bank Relations (tfcmg0510m000)

You must set up bank relations. A bank relation is required to process thepayments to and from your business partners.


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Step 3 Data by Bank/Payment Method (tfcmg0545m000)

You can use this session to define the combinations of a payment method and abank relation. These combinations determine how payments with a certain bankare processed in the financial records. You must also define the ledger accounts.In addition, a payment method is linked to each purchase invoice.

Step 4 Select Invoices for Payments (tfcmg1220m0000)

You can use this session to select purchase invoices that are due for payment byusing the automatic selection program. There are several options available toselect purchase invoices that are due from the open entries in the AccountsPayable (ACP) module.

Step 5 Payment Advice (tfcmg1501m000)

A payment advice list is generated which must be audited. You can makechanges before the final payment procedure is started.

Step 6 Compose Payments (tfcmg1240m000)

In the final procedure, separate payment lines are created by supplier and bycurrency for purchase invoices that are due. Banks from which payments mustbe deducted, and supplier codes are validated. In addition, priorities regardingpayments are assigned to banks. If any errors occur, BaanERP prints an errorlist that indicates the action that you must take.

After you have entered all the data, BaanERP either prints bank orders orchecks, or creates an electronic bank file.

Anticipated payments are posted to the general ledger accounts as specified bythe combination of a payment method and a bank relation.

In addition, the open entries in the Accounts Payable (ACP) module areupdated.

Anticipated payments are sent to the bank to be deducted. You will receive abank statement after the payments are processed by the bank.

Step 7 Transactions (tfgld1101m000)

You can use this session to update the data in BaanERP with the information onthe bank statements in the Reconciliation of Anticipated Payments/Receiptssession (tfcmg2102s000).

Step 8 Bank Transactions (tfcmg2100s000)

You can use this session to process the bank transactions.


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Step 9 Reconciliation of Anticipated Payments/Receipts (tfcmg2102s000)

In this session you can reconcile the anticipated documents that are processedby the bank. The reconciliation is processed by means of the transaction typeCash. BaanERP reverses previous postings that were processed when thepayments were carried out. The bank balance that appears in a general ledgeraccount is reduced. In addition, the open entries in the Accounts Payable (ACP)module are updated and the invoices are paid. The cash document that is linkedto purchase invoices, and the open balance amounts in the invoices, are set tozero.

Step 10 Finalization Run Numbers (tfgld1519m000)

You can use this session to finalize the financial transactions. The ledger historyand the dimension history are then finally closed.

2.2 The statuses in the payment procedure

The standard payment procedure is comprised of the following two steps:

1 Defining the steps of the payment procedure2 Defining the general ledger accounts used in the steps of the payment

procedure

A status is assigned to each payment step with each status representing apayment step.

The following are the steps and the statuses that are related to paymentdocuments:

1 Document received:The payment document is received by the organization and is awaitingapproval.

2 Document accepted/sent:The payment document is approved and is sent to the bank for clearance.

3 Document paid:The payment document is cleared by the bank and is ready forreconciliation in BaanERP.

Step 1 and step 2 are optional. You can select these steps when you havedefined the payment method. Step 3 is mandatory and is processed during thereconciliation of the payments.


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2.3 A variation in the standard payment procedure

For some payment methods, for example, the payment of a bill-of-exchange or atrade note, additional payment steps are required. A variation of the standardpayment procedure can include a subprocedure. This variation is optional. InFigure 5, additional sessions are added in between step 6, the ComposePayments (tfcmg1240m000) session, and step 8, the Transactions(tfgld1101m000) session, of the standard payment procedure.

Compose Payments(tfcmg1240m000)


Anticipated Payment Status

(tfcmg2512m000)


Supplier

Bank

1

2

3

4

Figure 5, A variation in the standard payment procedure

The variation in the standard payment procedure consists of the following steps:

Step 1 Compose Payments (tfcmg1240m000)

If payments are processed by means of the variation in the standard paymentprocedure, the payments go to the supplier for approval before they go to thebank. Additional steps can be defined for a payment method to accommodateadditional approval steps or to monitor the steps. This allows an organization tokeep track of which payments have or have not been posted to the generalledger.


You can use this session to update the data in BaanERP with the information onthe bank statements, found in the Reconciliation of AnticipatedPayments/Receipts (tfcmg2102s000) session.

Step 3 Anticipated Payment Status (tfcmg2512m000)

You can use this session to change the intermediate status of an anticipatedpayment. After the intermediate status has been changed, the payments are sentto the bank.


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This step corresponds with step 8 in Figure 4. After this step, you can follow theremainder of the standard payment procedure.

2.4 Manual anticipated payments

You can also carry out anticipated payments manually.


Anticipated Payments(tfcmg2110s000)

Anticipated Payments(Details)

(tfcmg2116s000)

Anticipated Payment Status(tfcmg2512m000)

2

3

4

5

Transaction Types(tfgld0511m000)

1


Receipts (tfcmg2102s000)6

Figure 6, Manual anticipated payments

Step 1 Transaction Types (tfgld0511m000)

You can use this session to define the transaction types. You must enter theAnticipated Payments (tfcmg2110s000) session as the main session, and theAnticipated Payment details (tfcmg2116s000) session as the second session.


You can use this session to enter the transaction type for anticipated payments.You must use the Cash transaction type.


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Step 3 Anticipated Payments (tfcmg2110s000)

You can use this session to manually select and pay purchase invoices. Youmust enter the bank relation and payment method that are appropriate for theanticipated payment. You must also enter the amount that has to be paid.

Step 4 Anticipated Payment (details) (tfcmg2116s000)

In this session you can enter details of the anticipated payment amount thatmust be paid. This payment is sent to the customer for realization.

Step 5 Anticipated Payment Status (tfcmg2512m000)

You can use this session to track the status of the anticipated payment whenseveral posting steps were defined in the payment method. By switching apayment status to a payment status associated with a later step in the paymentprocedure, new postings are created. These new postings must be posted to thegeneral ledger.


In this session you can reconcile the anticipated payments that are processed bythe bank. You must use the transaction type that is attached to the bank relationthat you defined in the Anticipated Payments (tfcmg2110s000) session.


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2.5 Standing-order procedure

You can make payments, even if you did not receive an invoice from yourbusiness partner. Such payments are called standing orders. The processing ofstanding orders is explained in the following figure.

Automatic Distribution of Standing Orders(tfcmg1112m000)

Standing Order PaymentSchedule

(tfcmg1511m000)

2

3

Posting Data of StandingOrders/Stand-Alone

Payments (tfcmg1515m000)4

Standing Orders(tfcmg1510m000)1

Figure 7, Standing-orders procedure

Step 1 Standing Orders (tfcmg1510m000)

You can use this session to create a standing order for a payment that has nolink to a purchase invoice. A standing-order cost transaction differs from astanding-order advance payment. For example, a cost transaction could be forrent that is paid every month. Although no purchase is received for this cost,you must define the general ledger accounts so that you can post the cost. Youcan define leger accounts in the Posting data for Standing Orders/Stand-AlonePayments (tfcmg1515m000). If you create an advance payment, the transactionis posted to the open entries in the Account Payable (ACP) module.

Step 2 Automatic Distribution of Standing Orders (tfcmg1112m000)

In this session you can distribute the total order to be paid amount into equalamounts paid over periods. For example, the total annual rent cost. You candefine the distribution of these amounts by specifying the periods, length ofperiod, or the amounts by period.

Step 3 Standing-Order Payment Schedule (tfcmg1511m000)

You can use this session to define a payment schedule. This payment scheduleindicates which installments of the total order amount are due on the plannedpayment days. Standing orders are due on the planned dates which can be takeninto account when you do an automatic payment run.


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Step 4 Posting Data of Standing Orders/Stand-Alone Payments(tfcmg1515m000)

You can use this session to enter posting data, such as general ledger accountsand dimensions for each cost transaction. For example, the cost rent must bepaid and posted to a cost account in the general ledger.

2.6 Payments without defined steps

You can also make payments without defined steps. In countries where checksare often used, a payment procedure with reconciliation causes too manyoperations and postings. If such a case occurs, you do not define payments stepswhen you define a payment method in the Payment Methods (tfcmg0540m000)session. If you use such a payment method, the payment transaction is posteddirectly after processing the payment procedure. This means that the ledgeraccount for the used bank relation and the control ledger account related to theAccounts Payable (ACP) module are modified directly after printing checks.


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Cash Management3-1

This chapter describes:

n The standard direct-debit proceduren The statuses in the direct-debit proceduren A variation in the standard direct-debit proceduren Manual anticipated payments

3.1 The direct-debit procedure

The direct-debit run covers the entire direct-debit procedure from the time salesorders are due as open entries in the Accounts Receivable (ACR) module untilthe time the sales invoices are cleared when the bank statement is received andthe receipts are reconciled. The standard direct-debit procedure contains thefollowing steps:

1 Setting up the payment method and the bank relation

2 Specifying the ledger accounts to which the anticipated receipts must beposted for each payment method and bank relation

3 Linking a payment method to each sales invoice

4 Selecting the sales invoices that are due

5 Auditing and processing the direct debits

6 Sending an electronic file or the printed bank orders to the bank fornotification purposes

The results of the direct-debit procedure are:

n The open entries file in the Accounts Receivable (ACR) module is clearedn All open amounts of sales invoices are set to zeron The cash document is linked to the sales invoice

3. The direct-debit procedure

The procedure’s result s

The direct-debit procedure

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Figure 8 shows the steps in the standard direct debit procedure.

Payment Methods(tfcmg0540m000)

Data by Bank/Payment Method

(tfcmg0545m000)

Select Invoices for Direct Debits

(tfcmg4220m000)

Direct Debit Advice(tfcmg4120s000)

Process Direct Debits (tfcmg4240m000)


Bank Transactions(tfcmg2100s000)


Receipts (tfcmg2102s000)

Finalization Run Numbers(tfgld1519m000)

1

5

6

7

8

9

10


3

4

ACR

ACR

Bank

BankSend Direct Debit Orders

Receive Bank Statement

Figure 8, The standard direct-debit procedure

The standard direct-debit procedure consists of the following steps.

Step 1 Payment Methods (tfcmg0540m000)

You must set up payment methods. You can link a payment method to aninvoice to determine how the invoice is paid.


You must set up bank relations. A bank relation is required to process thepayments to and from your business partners.


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Step 3 Data by Bank/Payment Method (tfcmg0545m000)

You can use this session to define the combinations of a payment method and abank relation. These combinations determine how payments with a certain bankare processed in the financial records. You must also define the ledger accounts.In addition, a payment method is linked to each sales invoice.

Step 4 Select Invoices for Direct Debits (tfcmg4220m000)

You can use this session to select sales invoices for payment by means of theautomatic selection program. In the Accounts Receivable (ACR) module,several options are available to select sales invoices that are due from the openentries.

Step 5 Direct Debit Advice (tfcmg4120s000)

You can use this session to create a direct-debit advice that you must audit. Youcan make changes before the final direct-debit procedure starts.

Step 6 Process Direct Debits (tfcmg4240m000)

In this session separate receipt lines are created by customer and currency forsales invoices that are due. Banks from which receipt amounts must bededucted, and customer codes, are validated. In addition, you can assignpriorities regarding deposits to banks. If any errors occur, an error list is printedwhich indicates the action that you must take.

After you have entered all the data, BaanERP either prints bank orders orchecks or creates an electronic bank file.

Anticipated receipts are posted to the general ledger accounts, as specified bythe combination of a payment method and a bank relation.

In addition, the open entries in the Accounts Receivable (ACR) module areupdated.

Anticipated receipts are sent to the bank to be deposited. You will receive abank statement after the direct debits are processed by the bank.


You can use this session to update the data in BaanERP with the information onthe bank statements held in in the Reconciliation of AnticipatedPayments/Receipts (tfcmg2102s000) session.

Step 8 Bank Transactions (tfcmg2100s000)

You can use this session to process the bank transactions.


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In this session you can reconcile the anticipated documents that are processedby the bank. The reconciliation is processed by means of the transaction typeCash. BaanERP reverses previous postings that were processed when the directdebits were processed. The bank balance that appears in a general ledgeraccount is credited accordingly. In addition, the open entries in the AccountsReceivable (ACR) module are updated and the invoices are paid. The cashdocument that is linked to sales invoices, and the open balance amounts in theinvoices, are set to zero.

Step 10 Finalization Run Numbers (tfgld1519m000)

You can use this session to finalize the financial transactions. The ledger historyand the dimension history are then finally closed.

3.2 The statuses in the direct-debit procedure

The standard direct-debit procedure is comprised of the following two steps:

1 Defining the steps of the direct debit procedure2 Defining the general ledger accounts used in the steps of the direct-debit

procedure

A status is assigned to each receipt step with each status representing a receiptstep.

The following are the steps and the statuses that are related to documents:

1 Document sent to customer:The bill-of-exchange is sent to the customer requesting approval to deductthe total amount from the customer’s bank account.

2 Document accepted by customer:The bill-of-exchange is accepted and approved by the customer and is readyto be sent to the bank.

3 Document sent to the bank:The bill-of-exchange is sent to the bank to be cleared for the sales amountdue.

4 Document paid:The bill-of-exchange is cashed in and the document is ready forreconciliation in BaanERP.

Step 1, step 2, and step 3 are optional. You can select these steps when you havedefined the payment method. Step 4 is mandatory and is processed during thereconciliation of the receipts.


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3.3 A variation in the standard direct-debit procedure

For some payment methods, for example the payment of a bill-of-exchange or atrade note, additional receipt steps are required. A variation of the standarddirect-debit procedure can include a subprocedure. This variation is optional. InFigure 9, additional sessions are added in between step 6, the Process DirectDebits (tfcmg4240m000) session, and step 8, the Transactions (tfgld1101m000)session of the standard direct-debit procedure.

Process Direct Debits(tfcmg4240m000)


Anticipated Receipt Status

(tfcmg2513m000)

Customer

Bank

1

2

3


4

Figure 9, A variation in the standard direct-debit procedure

The variation in the standard direct-debit procedure consists of the followingsteps:

Step 1 Process Direct Debits (tfcmg4240m000)

If direct debits are processed by means of the variation in the standard direct-debit procedure, the direct debits go to the customer for approval. The receiptdocument is then returned to the office. The anticipated receipt document is firstentered in BaanERP as accepted by the customer, and is then sent to the bankthat will have the sales invoice amounts charged against it. Additional steps canbe defined for a payment method to accommodate additional approval steps orto monitor the steps. This allows an organization to keep track of which receiptshave and have not yet been posted to the general ledger.


You can use this session to update the data in BaanERP with the information onthe bank statements, found in the Reconciliation of AnticipatedPayments/Receipts (tfcmg2102s000) session.


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Step 3 Anticipated Receipt Status (tfcmg2513m000)

You can use this session to change the intermediate status of an anticipatedreceipt. In the largest subprocedure (comprising four receipt steps), you mustchange the receipt status of the anticipated document at least twice. As a result,you must use the transaction type twice until the status is set to Document sentto bank. After this the receipt documents are sent to the bank.


This step corresponds with step 7 in Figure 6, after which you can follow theremainder of the standard direct-debit procedure.

3.4 Manual anticipated receipts

You can also manually carry out anticipated receipts.


Anticipated Receipts(tfcmg2111s000)

Anticipated Receipts(Details)

(tfcmg2117s000)

Anticipated Receipt Status(tfcmg2513m000)

2

3

4

5

Transaction Types(tfgld0511m000)

1


Receipts (tfcmg2102s000)6

Figure 10, Manual anticipated receipts

Step 1 Transaction Types (tfgld0511m000)

You can use this session to define the transaction types. You must enter theAnticipated Receipts (tfcmg2111s000) session as the main session and theAnticipated receipts details (tfcmg2117s000) session as the second session.


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You can use this session to enter the transaction type for anticipated receipts.You must use the Cash transaction type.

Step 3 Anticipated Receipts (tfcmg2111s000)

You can use this session to manually select sales invoices to obtain cashreceipts. You must enter the bank relation and payment method that areappropriate for the anticipated receipt. You must also enter the total amount forthe receipt transaction.

Step 4 Anticipated Receipt (details) (tfcmg2117s000)

In this session you can enter the details of the anticipated receipt amount.

Step 5 Anticipated Receipt Status (tfcmg2512m000)

You can use this session to track the status of the anticipated receipts whenseveral posting steps were defined in the payment method. By switching areceipt status to a receipt status associated with a later step in the direct-debitprocedure, new postings are created which must be posted to the general ledger.


In this session you can reconcile the anticipated receipts that are processed bythe bank. You must use the transaction type that is attached to the bank relationthat you defined in the Anticipated Receipts (tfcmg2111s000) session.


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Cash Management4-1

This chapter describes the electronic bank statements procedure and its results.

4.1 The electronic bank statements procedure

The electronic bank statements procedure includes one step of the paymentprocedure as described in chapter 2.

After the payments/receipts have been processed, the bank sends out statementswith processed transactions. In BaanERP, these bank transactions are posted tothe General ledger (GLD) module. Certain banks send the bank statements inelectronic form, either by diskette or by modem. The procedure for processingthe electronic bank statements comprises the following steps:

n Modifying the CMG parameters and the bank relation data

n Defining the structure of the electronic bank statements file by addingrecord types and the position of the conversion data

n Converting the electronic bank statements and the remittance advicemessages from customers

n Adapting the converted electronic bank statements file and the remittanceadvice messages, if necessary

n Matching the electronic bank statements file and the remittance advicemessage against the open sales invoices or purchase invoices

n Changing the data when automatic matching is not possible

n After auditing, posting the transaction to the General Ledger (GLD) module

n After posting the bank transactions, updating the data of the bank relation.You can do this by creating bank accounts of supplier or customers whohave not yet registered

n Removing posted data

As a result of the electronic bank statements procedure, the open entries file inthe Accounts Payable (ACP) module and the Accounts Receivable (ACR)module is cleared and all open purchase and sales invoices amounts are set tozero. In addition, all bank transactions are posted to the General ledger (GLD)module.

4. The electronic bank statements procedure

The procedure’s resul t

The electronic bank statements procedure

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Figure 11 and 12 show the steps in the electronic bank statements procedure.

CMG Parameters(tfcmg0100s000)

Record Types for ElectronicBank Statements(tfcmg5104m000)

Conversion Data for Electronic Bank Statements

(tfcmg5105m000)

Convert Electronic BankStatements

(tfcmg5202m000)

Converted Electronic BankStatements

(tfcmg5102s000)

1

5

6


3

4

Remittance AdviceMessages (Receipts)

(tfcmg5101s000)

Match Electronic BankStatements

(tfcmg5212m000)

7

8

A

Figure 11, The EBS procedure


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Electronic Bank Statements(tfcmg5103s000)

Posting Data of Electronic Bank Statements

(tfcmg5106m000)

Audit Posting Data of Electronic Bank Statements

(tfcmg5203m000)

Post EBS (tfcmg5222m000)12

Update Bank A/C’s(tfcmg5232m000)

Remove Posted Data of Electronic Bank Statements

(tfcmg5213m000)

13

14

9

A

10

11

Figure 12, The EBS procedure (continued)

Step 1 CMG Parameters (tfcmg0100s000)

Before you can start the procedure for processing electronic bank statements,you must specify the Transaction Date in Case of Telebanking parameter.


You can use this session to define a path in which the electronic bankstatements file is stored, and a path that is used to archive the electronic bankstatements file.

Step 3 Record Types for Electronic Bank Statements (tfcmg5104m000)

Banks deliver electronic bank statement files in different ways. Consequently,you must define the structure of the electronic bank statement file for each bank.In this session you must define the record types. Record types refer to thedefinitions of a record part in electronic bank statements and consist of theconversion data.

Step 4 Conversion Data for Electronic Bank Statements (tfcmg5105m000)

In this session you can define the conversion data by record type.


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Step 5 Convert Electronic Bank Statements (tfcmg5202m000)

You can use this session to convert the electronic bank statements file. If aremittance advice message is received through EDI, it is also converted in thissession.

Step 6 Converted Electronic Bank Statements (tfcmg5102s000)

You can use this session to modify the data of the converted electronic bankstatements after the conversion.

Step 7 Remittance Advice Messages (Receipts) (tfcmg5101s000)

You can use this session to modify the data of the remittance advice messageafter the conversion.

Step 8 Match Electronic Bank Statements (tfcmg5212m00)

In this session the converted electronic bank statement file and the remittanceadvice messages are matched automatically against the open sales invoices andpurchase invoices in BaanERP.

Step 9 Electronic Bank Statements (tfcmg5103s000)

Sometimes automatic matching is not possible because of insufficient data inthe electronic bank statement files. In this session the bank statements with thestatus matched and converted are displayed.

Step 10 Posting Data of Electronic Bank Statements (tfcmg5106m000)

You can use this session to modify the electronic bank statements with thestatus converted. In this session you can enter the data that is required formatching and you can change the status of the bank statements to matched.

Step 11 Audit Posting Data of Electronic Bank Statements (tfcmg5203m000)

Use this session to audit the electronic bank statements after they have beenmatched.

Step 12 Post EBS (tfcmg5222m000)

Use this session to post the electronic bank statements to the General Ledger(GLD) module, after they have been matched.

Step 13 Update Bank A/C’s (tfcmg5232m000)

After the transaction data are posted to the General ledger (GLD) module, youcan update the registration of customers and suppliers bank accounts. If thereare customers or suppliers who do not yet have bank accounts, you can createthese bank accounts with this session.

Step 14 Remove Posted Data of Electronic Bank Statements(tfcmg5213m000)

You can use this session to remove the posted data for electronic bankstatements.

baanerp finance cash management - baansupport.com · cash management 1-1 this chapter provides...

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